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1) PRICING STARTEGY

People not living in Kolkata have no idea of the city or its transportation system. The basic fare for
public buses which run from 4am in the morning to 2am cost between 7-15 rupees. The metro fare
is split as 5,10,12,14,16. The carpool facilities are not available anywhere in the city except for
schools and colleges as the time of operation is dynamic in other places. Cabpool services are in
operation(ex. Haldiran exide to salt lake sector 5 & Haldiram exide to Shipbpur). The fare of
carpool from haldiram to shibpur by bus is Rs. 9 and by cabpool is Rs. 10. A single van
accommodates 12 people and hence has a revenue of Rs. 100 on average owing to traffic. The cost
of his operations include Rs. 10 of toll tax and Rs. 60 for petrol(distance is approx. 10 km, mileage
of 13kmpL and petrol cost assumed to be ~75). Thus leaving him with a profit margin of 30 rupees/
trip. The driver operates on an average of 20times/day(as a two way trip takes 1.25 hours). Thus he
earns a profit of 600/day. His monthly profit lies between 9k-10k.
While deciding our carpool service the following figures need to be kept in mind(operators profit,
fee to driver, customers benefit from pricing)
All these should depend on the following parameters:
Time of the day
Car provided
Route distance
Number of people sharing the car
Target segment (school, office goers, etc.). A policy of price discrimination should be applied
Consumer preferences
2) Target segment
At present carpool system is only operational between schools and offices are starting it slowly. To
grab the market for school goers we need to have a clear idea of the overall school goers taking
carpool
http://www.telegraphindia.com/1130913/jsp/calcutta/story_17344517.jsp#.VeK4CdxmW3w
There are certain problems in addition of alternate segments to carpooling in kolkata
-

Autos(cheaper cost, greater availability)


Safety issues
Dynamic timing of different people in organizations

3) Advertising
Initially we should target routes where bus facilities are low in the high traffic time(ex. Rajarhat,
kasba, saltlake, joka). These routes are also unsafe for people travelling by buses or cabs. Most of

the buses operating in the rajarhat, kasba etc. are also A.C. buses (ex. MB 14, MB12, etc.) and thus
the cost varies from 20-120. This is where we should position our pooling service. It is here we
should price differently and also grab the consumer market. Needless to say we should address
safety issues over uber and ola.
Advertising using mobile apps and google adwords should be your primary focus. Google adwords
directly should get redirected to our mobile app. An official website of our carpool service would be
able to provide adequate data on traffic density within 1 month once incorporated with google
analytics. Since our main aim is promotions and the cost/adword for this segment is significantly
low, thus we should adopt a policy of:-cost/click for google text ads
-cost/impression for google display ads
Much more emphasis should be laid on google adowrds campaign as it aligns us to our main target
segment (youths of age 15-30)
4) Mass media communication
Facebook, twitter etc. should be used on a high note. Events demonstrating the significance of
carpool over personal or public rides should be organized in school during the days of parent
teacher meet so as to attract more audience. Additional demonstration should be conducted in
colleges.
5) Our carpool service should be segmented as follows

People using
public
transport

Metro

Buses

Better not to
target

Auto

Non ac

Target where
frequency is
low

ac

Where traffic
is more

Most
attractive
segment

Equivalent
comfort to be
taken care of

Other

Short distance

Long
disstance

Cant be
targeted

Only for fare


>=10 and
distance
>=4km

Cabpool

decent pricing
strategy

operator and
driver profit
and safety
issues

6) Whom not to target


People living or going to places along the metro lines. Metro operates at a very low rate in Kolkata
thanks to the local govt. Thus these routes should be avoided. Also carpool should operate over
large distance so as to reduce time and transport shifting. One main problem a daily commuter faces
here is shifting from bus to Auto and walking finally. Our main target segment should be these
people.
7) Safety issues
-

GOOGLE HANGOUT SESSIONS WITH DRIVER AND COLEAGUES PRE BOOKING A


google hangout session with your fellow commuters will provide you with a detailed knowledge
about their beings and happening. This will help you in having prior knowledge before booking
a seat.

Walk/cycle

Cant be
targeted

PERSONAL HANGOUT WITH DRIVER One major issue concerning commuters is


experience of driver, his whereabouts, etc. A detailed session will help commuters choose
drivers and provide feedback based on communication. Additional feedback sessions once they
start commuting will be done
Feedback session every month on commuter to commute basis Every commuter should give
feedback about fellow commuters. This will help in avoiding conflict.

8) Search engine optimization for the website


-

Keyword mapping based on google analytics data after the initial 1 month analysis
Incorporating clicks and impressions of goggle adwords with analytics to see change in traffic
and commuter density over time, location, demographics, etc.

9) Pricing table

<2km
<5km
<10km
<15km

<20km

<25km

Hatchback
Price/person
N.A.
N.A.
17
25(A person needs
to change atleast 2
transport)
40(AC. Buses
charge Rs. 60 /
change of 3
transport or local
buses which take
>2.5 hours)
50(shibpur to
saltlake for ex.
Bus(10)+metro(10
)+auto(15)+auto(1
0)-route :shibpur>exide>shobhabzar>ultadunga>saltlake). A. C.
buses charge Rs.
80

Sedan
Cost
20
35-40
60
75-80

Profit
N.A.
N.A.
2
20-25

100

20

130-140

60-70

SUV/MUV

>25km

No. of km*2(as
extra 10 km travel
leads to petrol of
Rs. 70 and
additional revenue
of Rs. 80 and
profit of Rs. 10)

>150

The above data has been given keeping in mind


- target segment
- Cost of transport/person in that segment and that distance range
- Only one way transport
The matrix can be enhanced to a 4D matrix aligning the time and segment (price discrimination) concepts
Costs are exclusive of driver fees.(only KMPL)

SUV and MUV are better options for long distance travel and hatchback for short distance

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